life empowered SOZO rewards plan EFFECTIVE 4/20/14

Transcription

1 life empowered SOZO rewards plan EFFECTIVE 4/20/14

2 1 SOZO Global s Rewards Plan has been developed to combine the strengths of the most powerful compensation plans ever assembled in the Network Marketing industry, thus creating an imaginative, innovative and REVOLUTIONARY way of rewarding our independent distributors. It has been designed with the everyday individual in mind. All compensation in the SOZO Rewards Plan is directly tied to your success in enrolling new customers and helping new distributors do the same. THE SOZO REWARDS PLAN PROVIDES MULTIPLE WAYS TO EARN INCOME AND EMPOWERS YOU TO BUILD A BUSINESS! SOZO REWARDS PROGRAM Retail Sales Bonus Pool Bulk Order Bonus Mentor Bonus Leadership Bonus Life Team Matching Bonus Team Commissions Leadership Check Matching Bonus SOZO INCENTIVE PROGRAM Health, Vision, Dental and Life Insurance Retirement Solutions (401K) Lifestyle Bonus Exotic Car Program Rank Advancement Bonus Incentive Trips GETTING STARTED To become an Independent Distributor with SOZO Global, simply enroll online or fill out an Independent Distributor application and submit a hard copy to the corporate office (888) FAX. Contact Customer service (888) or at customerservice@sozolife.com with all questions.

3 2 QUALIFICATIONS ACTIVE - The status of a Distributor who generates a minimum of 50BV every 28 days. ACTIVE CUSTOMER - Someone other than a Distributor who has placed an order with SOZO in the past 28 days. QUALIFIED DISTRIBUTOR - A Distributor who maintains active status and having personally sponsored 2 or more Active Distributors [one in each binary tree leg]. a few quick terms 4-WEEK ROLLING PERIOD - The current week plus the previous 3 weeks. BINARY - The method used to calculate Team Earnings, in which Distributors are arranged in a genealogy with two legs (left and right) and commissions are paid on the Sales Volume of the weak volume leg. BV - Business Volume - All Sales Volume (SV) from Retail Sales and personal purchases. CARRYOVER SALES VOLUME - Accrued Sales Volume that was not paid out in the period it was produced. Active Distributors carry over unpaid volume. Inactive Distributors do not carry over unpaid Sales Volume. CV - Cumulative Volume - The cumulative amount of Sales Volume from current pay period sales and Carryover Sales Volume from which commissions and bonuses are calculated. Life Team - The first three (3) personally sponsored Active Independent Distributors who have purchased a PRODUCT STARTER PACKAGE (or sold the equivalent), or qualify through the retail sales equivalent. NIRS Non-Inventory Retail Sales - Includes purchases made by a distributor s Preferred Retail Customers as well as Retail Customers who purchase from the distributor s retail website. NIRS does NOT include sales made from a distributors personal purchases. PV - Personal Volume - The value of product personally purchased for your use or for resale. PAY PERIOD - WEEKLY - 12:01am Sunday through Saturday Midnight Central Time. MONTHLY - Calendar Month PREFERRED RETAIL CUSTOMER - A Retail Customer that purchases product through the Recurring Order feature. Being a Preferred Retail Customer allows Customers to purchase products at a discounted price. RECURRING ORDER - An optional program that requires pre-registration by a Retail Customer or an Independent Distributor to receive on-going consistent product delivery. Independent Distributors on the Recurring Order feature will receive product delivery every 28 days to aid in maintaining Active status. RETAIL CUSTOMER - A customer who is NOT an Independent Distributor that purchases products at retail pricing. RETAIL PROFITS - As a SOZO Distributor, you will be able to purchase your SOZO products at a wholesale price to resell to your customers for a retail profit. No personal product purchases are required to participate in retail profits generated through your Retail Web Site. RETAIL SAMPLE PACK - A pre-designed product package that creates an efficient way for Customers to sample SOZO products.

4 3 RETAIL SALE - A customer who is NOT an Independent Distributor that purchases products at retail pricing. A retail sale may be made on a distributors retail website (NIRS), or may be purchased by a distributor, and resold to a customer ( offline ). If an offline sale is made, to get credit for retail sales qualification purposes, the distributor must provide details of the sale to SOZO, to include customer name, address, , date of sale, quantity and price of product sold. SOZO PRODUCT STARTER PACKAGE - A pre-designed product package for Retail Customers and Independent Distributors for consumption and re-sale. SV - Sales Volume - The value of product as referenced in the SOZO Price Sheet and Success Center used to calculate commissions and bonuses. Sales Volume expressed in points are not necessarily equivalent to any currency value. UNILEVEL - Personal Sponsorship Tree - All of the Distributors that you have personally sponsored, plus all those that they have personally sponsored, and so on. Your personal sponsorship tree does not include Distributors from your binary that have been placed there by a Distributor not in your personal sponsorship tree. WHOLESALE DISTRIBUTOR - A customer who is NOT an Independent Distributor that purchases a Wholesale Customer Membership for $39. This membership entitles the customer to purchase SOZO products at wholesale pricing. Wholesale Customers may purchase products at wholesale cost and sell at retail, but are not eligible to participate in any other SOZO rewards or benefits programs. PLACEMENT Placement can occur in two different ways. As the sponsoring distributor you can either specify the location in your binary tree where you want a new distributor to be placed, or you can choose to automatically place the new distributor in your binary tree through your SOZO Success Center. INDEPENDENT DISTRIBUTOR - Distributors who enroll in the SOZO Rewards Program. The one-time cost of the program is $99 3 with an annual renewal fee of $39 on the anniversary date of enrollment. Independent Distributors receive the following: Access to the company s Independent Distributor Support Group via a toll-free number Access to the SOZO Success Center, a real-time online back office system.

5 4 customer acquisiton program WHOLESALE TO RETAIL Selling SOZO products directly to your customers is the start of a solid foundation for your business. Person-to-Person retail sales allow you to earn income by purchasing SOZO products at the wholesale price and then selling them at a retail price. Selling products to your customers is essential to network. No personal product purchases are required to participate in Retail Profits. Retail Sales profits from your replicated website are paid out weekly. BULK ORDER BONUS The Bulk Order Bonus program provides incentive to distributors who enroll other distributors that wish to purchase SOZO products in bulk for resale. A percentage of each Bulk Order sale will pay to the sponsoring distributor. RETAIL SALES BONUS POOL Every quarter SOZO rewards its top retail selling Distributors with the Retail Sales Bonus Pool. The top 10 Distributors with the most in Retail Sales Volume every quarter will qualify to earn a share of 2% of the total volume from NIRS. To qualify, a distributor must personally generate at least 500 in NIRS Sales. See details on how the shares are divided at the end of the compensation plan. SOZO REWARDS PROGRAM MENTOR BONUS UNILEVEL-WEEKLY The Mentor Bonus is a bonus that pays upline using the sponsorship unilevel tree. Mentoring new Distributors how to gather customers is an integral part of building your business. = $100 = $50 = $25

6 5 The sponsor of the new Independent Distributor earns $100 when a new Distributor has purchased a VIP Product Starter Package, earns $50 when a new distributor has purchased a Basic Product Starter Package, or $25 when a new Distributor has purchased a Junior Starter Package. Mentor bonuses are paid on the Product Starter Package selected by the new distributor at the time of enrollment. 4 LEADERSHIP BONUS UNILEVEL-WEEKLY The Leadership Bonus, is a bonus, that pays upline using the sponsorship unilevel tree. Leadership Bonuses are paid to those that reach Marketing Director and above. These bonuses are paid on every qualifying new Independent Distributor that has purchased a SOZO Product Starter Package. 1 Alternately a new Distributor can sell $99 or more in Product Sales within the first 28 days of enrollment to earn the same rewards listed above 2. Leadership Bonuses are paid based on the sponsoring distributor s enrollment level. As an example, a distributor who enrolled with a Junior Product Starter Package is only eligible to earn Junior Leadership Bonuses on newly enrolled distributors in his organization no matter the level of the starter package purchased by the new enrolee. + $15 + $10 + $5 + $50 + $30 + $20 vip package purchases distributor senior regional national + $100 + $60 + $40 $100 $200 $260 $300

7 6 LIFE TEAM MATCH BONUS UNILEVEL-WEEKLY When a Distributor reaches Senior Marketing Director (SMD) or higher, they can earn a 25% matching bonus on the Leadership Bonus earnings of their first three (3) personally sponsored Independent Distributors which we call their LIFE TEAM. When an Independent Distributor reaches SMD or higher, they earn a 25% match on their Life Teams Leadership Bonus earnings up to the sponsoring Independent Distributors current level for as long as they are currently achieving SMD or higher qualifications. 25% TEAM COMMISSIONS BINARY-WEEKLY Team Commissions are paid to an Active and Qualified Independent Distributor based on the total Sales Volume accumulated in their lesser volume leg. A Team Commission of 10% is paid weekly on the lesser leg Sales Volume. The commissionable Sales Volume is calculated using all current pay period Sales Volume plus all Carryover Sales Volume accumulated from previous pay periods. you $400 left leg right leg 4,000 sv 6,000 sv *These are maximum weekly payouts per advancement levels. These are in no way guarantees of earnings but are the maximums allowed. weekly team commission cap* distributor senior regional $1,000/wk $2,000/wk $5,000/wk $10,000/wk national $20,000/wk international $35,000/wk global ambassador $50,000/wk

8 7 LEADERSHIP CHECK MATCHING BONUS UNILEVEL-WEEKLY The Leadership Check Matching Bonus is paid to Active and Qualified Independent Distributors who achieve and maintain the rank of Regional Marketing Director and above. The LCM bonus is derived from the funds available for distribution after other payouts are made. The company pays 50% of Sales Volume every week. The balance of funds remaining after the company has paid Team Commissions, the Life Team Match Bonus, health vision dental & life insurance allowances, Rank Advancement Bonuses and Lifestyle bonuses, will be placed in a pool of funds available for payout in the LCM. This pool will be allocated and paid pro-rata based on your Unilevel team s weekly team earnings, and will include the levels of your team based on the Matching Bonus Generations table below:

9 8 sozo incentive program HEALTH, VISION, DENTAL & LIFE INSURANCE RANK-MONTHLY As a distributor's business grows, they can earn additional benefits from SOZO. When an Independent Distributor becomes a Marketing Director they are qualified to participate in the Distributor Health Benefits program offered by a designated third party provider. When a Distributor attains the Leadership rank of Senior Marketing Director or higher they will be able to receive a bonus that reimburses the qualified Independent Distributor for their Health, Vision, Dental and Life Insurance*. They must maintain all qualifications, including volume requirements as outlined in the Rank and Qualifications to continue the monthly reimbursement. Reimbursements will be made upon verification of enrollment by a designated third party provider. Benefit details and reimbursement amounts can be found in the Distributor Benefits Handbook. RANK ADVANCEMENT BONUS RANK-WEEKLY As an Independent Distributor's business grows, they can earn a one time Rank Advancement Bonus. In order for a distributor to qualify, they must simply attain the qualifications for their achieved rank. [Marketing Director and above] MARKETING DIRECTOR - $100 (Must be achieved within 28 days of enrollment) SENIOR MARKETING DIRECTOR - $1,000 REGIONAL MARKETING DIRECTOR - $5,000. NATIONAL MARKETING DIRECTOR - $20,000 INTERNATIONAL MARKETING DIRECTOR - $35,000 GLOBAL AMBASSADOR - $50,000 LIFESTYLE BONUS PROGRAM RANK-MONTHLY Once an Independent Distributor has achieved the Leadership rank of Regional Marketing Director they can earn a Lifestyle Bonus of $500 per month to be used at their discretion. The Lifestyle Bonus will increase to $1000 per month at the rank of International Marketing Director. To continue to receive the Lifestyle Bonus, Distributors must maintain all qualifications and must achieve the corresponding Paid As rank at least twice during the calendar month.

10 9 EXOTIC CAR PROGRAM RANK-ONE TIME Once a Distributor has achieved the rank of Global Ambassador they can participate in the SOZO Exotic Car Program. ranks and qualifications DISTRIBUTOR - Enroll online or submit application for the $99 SOZO Rewards Program. To receive commissions a Distributor must be Active with a minimum of 50 BV. MARKETING DIRECTOR (MD) - To achieve the rank of Marketing Director, a distributor must be Active with a minimum of 50 BV, Qualified, has personally sponsored three (3) Active Independent Distributors who have purchased a product starter package (or sold the equivalent), and has acquired a minimum of one (1) Preferred Customer sale or two (2) verifiable Retail Sales during the 28 day qualifying period. Once achieving the rank of MD, to continue to earn a distributor a must be Active with a minimum of 50 BV, Qualified, and has acquired a minimum of one (1) Preferred Customer sale or two (2) verifiable Retail Sales during the 28 day qualifying period. SENIOR MARKETING DIRECTOR (SMD) - To achieve the rank of Senior Marketing Director, a distributor must be Active with a minimum of 100 BV, Qualified, has personally sponsored a minimum of three (3) Active Independent Distributors who have purchased a product starter package (or sold the equivalent) in his/her Marketing Director Organization [meaning he/she has sponsored three (3) Active Independent Distributors after attaining the rank of Marketing Director], has developed ten (10) Marketing Directors in the Marketing Director Organization, and has a minimum of two (2) Preferred Customer sales or four (4) verifiable Retail Sales during the 28 day qualifying period. To receive the incentive bonuses, a SMD must maintain the Paid As rank of Senior Marketing Director by achieving a minimum 6,000 gross weak leg SV (Sales Volume) during the qualifying calendar month. Once achieving the rank of SMD, a distributor a must be Active with a minimum of 100 BV, Qualified, and has acquired a minimum of two (2) Preferred Customer sales or four (4) verifiable Retail Sales during the 28 day qualifying period. REGIONAL MARKETING DIRECTOR (RMD) - To achieve the rank of Regional Marketing Director, a distributor must be Active with a minimum of 100 BV, Qualified, has personally sponsored a mini-

11 10 mum of three (3) Active Independent Distributors who have purchased a product starter package (or sold the equivalent) in his/her Senior Marketing Directors Leadership Organization [meaning he/she has sponsored three (3) Active Independent Distributors after attaining the rank of SMD], has created at least four (4) Senior Marketing Directors in their Senior Marketing Directors Leadership Organization, has a minimum of three (3) Preferred Customer sales or six (6) verifiable Retail Sales during the 28 day qualifying period. To receive the incentive bonuses and the Leadership Check Matching Bonus, a RMD must maintain the Paid As rank of Regional Marketing Director by achieving a minimum of 30,000 gross weak leg SV during the qualifying calendar month and at least three (3) Preferred Customer sales or six (6) verifiable Retail Sales. Once achieving the rank of RMD, a distributor a must be Active with a minimum of 100 BV, Qualified, and has acquired a minimum of three (3) Preferred Customer sales or six (6) verifiable Retail Sales during the 28 day qualifying period. NATIONAL MARKETING DIRECTOR (NMD) - To achieve the rank of National Marketing Director, a distributor must be Active with a minimum of 100 BV, Qualified, has personally sponsored a minimum of three (3) Active Independent Distributors who have purchased a product starter package (or sold the equivalent) in his/her Regional Marketing Director Leadership Organization [meaning he/she has sponsored three (3) Active Independent Distributors after attaining the rank of Regional Marketing Director], has created at least four (4) Regional Marketing Directors in the RMD Leadership Organization, and has a minimum of three (3) Preferred Customer sales or six (6) verifiable Retail Sale during the 28 day qualifying period. To receive the incentive bonuses and the Leadership Check Matching Bonus, a NMD must maintain the Paid As rank of National Marketing Director by maintaining at minimum of 80,000 gross weak leg SV during the qualifying calendar month and at least three (3) Preferred Customer sales or six (6) verifiable Retail Sale during the qualifying calendar month. Once achieving the rank of NMD, a distributor a must be Active with a minimum of 100 BV, Qualified, and has acquired a minimum of three (3) Preferred Customer sales or six (6) verifiable Retail Sale during the 28 day qualifying period. INTERNATIONAL MARKETING DIRECTOR (IMD) - To achieve the rank of International Marketing Director, a distributor must be Active with a minimum of 100 BV, Qualified and has personally sponsored a minimum of three (3) Active Independent Distributors who have purchased a product starter package (or sold the equivalent) in his/her National Marketing Directors Leadership Organization [meaning he/ she has sponsored three (3) Active Independent Distributors after attaining the rank of National Marketing Director] has created at least four (4) National Marketing Directors in their National Marketing Directors Leadership Organization with no more than two (2) of the qualifying NMD s coming from the same personal lineage leg, has a minimum of three (3) Preferred Customer sales or six (6) verifiable Retail Sales during the 28 day qualifying period, and has a minimum of 50,000 gross weak leg Binary Tree SV (Sales Volume) during the current bonus week and at least 3 of the previous 6 bonus weeks. To receive the incentive bonuses and the Leadership Check Matching Bonus, you must maintain the

12 11 Paid As rank of International Marketing Director by achieving a minimum 200,000 gross weak leg CV and at least three (3) Preferred Customer sales or six (6) verifiable Retail Sales during the qualifying calendar month. Once achieving the rank of IMD, a distributor a must be Active with a minimum of 100 BV, Qualified, and has acquired a minimum of three (3) Preferred Customer sales or six (6) verifiable Retail Sales during the 28 day qualifying period. GLOBAL AMBASSADOR - To achieve the rank of Global Ambassador, a distributor must be Active with a minimum of 100 BV, Qualified and has personally sponsored a minimum of three (3) Active Independent Distributors who have purchased a product starter package (or sold the equivalent) in his/her National Marketing Directors Leadership Organization [meaning he/she has sponsored three (3) Active Independent Distributors after attaining the rank of National Marketing Director] has created at least eight (8) National Marketing Directors in their NMD Leadership Organization with no more than two (2) of the qualifying NMD s coming from the same personal sponsorship lineage leg, has a minimum of three (3) Preferred Customer sales or six (6) verifiable Retail Sales during the 28 day qualifying period, and has a minimum 100,000 gross weak leg binary Tree SV (Sales Volume) during the current bonus week and at least 3 of the previous 6 bonus weeks. To receive the incentive bonuses and the Leadership Check Matching Bonus, you must maintain the Paid As rank of Global Ambassador by achieving a minimum 400,000 gross weak leg SV and at least three (3) Preferred Customer sales or six (6) verifiable Retail Sales during the qualifying calendar month. Once achieving the rank of GA, a distributor a must be Active with a minimum of 100 BV, Qualified, and has acquired a minimum of three (3) Preferred Customer sales or six (6) verifiable Retail Sales during the 28 day qualifying period. how far will you go?

13 Regardless of the initial pack purchased, a distributor may purchase an upgrade pack at any time. Distributors may only upgrade one level per transaction, i.e., they may not upgrade directly from a Junior to VIP status. In order to upgrade from Junior to VIP status, a distributor must purchase a Basic Product Upgrade AND a VIP Product Upgrade. 2 - If a new distributor elects to sell product instead of purchasing one of the enrollment packs when enrolling, upon triggering the leadership bonus, the associated volume will be deducted from the distributor and their up-line organization. For example, if a distributor initially enrolled with a Junior Product Starter Package and $400 in retail sales are made in the first 28 days, and the sales have an associated volume of 280SV, upon triggering the leadership bonus, a negative 200 SV will appear in their volume, and their upline s volume (to account for the equivalent of a $299 retail sales pack). 3 - The $99 enrollment fee includes 6 months of the SOZO Success Center back office fees. After 6 months of the Independent Distributor s Start Date a monthly Success Center fee will be billed. 4 Mentor bonuses are paid only on the initial enrollment pack purchased by a distributor. Mentor bonuses are not paid on upgrades. Be sure you have the required Preferred Customer/Retail Sales by each ending pay period to be paid at your leadership level. Don t miss out on earnings; always have more Preferred Retail Customers or Retail Sales than required. If your Preferred Customer/Retail Sales are less than your qualification requirements, a 30 day grace period will begin and you will be paid all commissions and bonuses earned, UNLESS the previous qualification was a grace period. You will NOT be paid all commission and bonuses at the current qualified leadership level when you have two (2) consecutive months of missed Preferred Customer/Retail Sales requirements. Overall Payout Rules Along with the Team Commissions earning cap of $50,000 weekly and the individual leadership rank earning caps, there is a general payout cap of 50% of total SV (Sales Volume) on the collective payout throughout the entire Rewards/Compensation Plan. Bonuses and Commissions listed within this Rewards Plan document are the maximum limits eligible for each rank shown and are based strictly on individual performance. SOZO does not pay more than 50% of total weekly company wide Sales Volume into the Compensation Plan structure. The 50% Sales Volume commission cap payout has been put in place to ensure the long-term viability of SOZO Global Inc. No commissions are paid for the recruiting of new Distributors. Commissions are only paid on the sale of products. A product purchase is not required to become a SOZO Distributor. SOZO makes NO GUARANTEES of income and results depend solely on the efforts of each individual Distributor. This document is designed to offer an overview of the benefits offered by SOZO to those individual Distributors who put in the work necessary to build a successful SOZO business. Unpaid Binary Sales Volume for Active Distributors carries over up to a maximum of 1 Million SV per binary leg.

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